Here are detailed answers to each of your questions based on the content from the PDFs:

1. Strategy and Ethics

A company's strategy must not only be e>ective but also ethical. Ethics in strategy
means that the company’s actions should be morally sound, not just legally compliant.
Senior management is responsible for ensuring that the company's strategies reflect
ethical considerations, such as fair treatment of stakeholders (customers, employees,
shareholders, suppliers, and the community). Unethical strategies, even if profitable in
the short term, can damage the company’s reputation and long-term success. For
example, companies like Enron faced significant consequences due to unethical
practices.

2. Identifying Company Strategy:

The Pattern of Actions and Business Approaches that Define a Company's Strategy:

1. Action to gain sales and market, share via lower prices, more performance
Features, more appealing design, better quality or customer service, wider
production selection, or other such actions.
2. Action to respond to changing market conditions and other external Factor
3. Action to enter new geographic or product markets or exist existing ones.
4. Actions to capture emerging market opportunities and defend against external
threats to the company's business prospects.
5. Actions to strengthen market standing and competitiveness by acquiring or
menging with other companies.
6. Actions to strengthen competitive ness via strategic alliances and collaborative
partnerships.
7. Actions and approaches used in managing R&D, Production, sales &marketing,
Finance, and other key activities.
8. Actions to strengthen competitive capabilities and correct competitive weakness.
9. Actions to diversify the company's revenue und earning by entering new business.

→ Examples: Companies like Walmart and IREA are Famous, they've mastered this
strategy by o>ering product at prices lower than their competitors, while still maintaining
profitability.

3. Linking Strategy with Ethics:

Ethics and strategy are closely linked because a company’s success depends not only
on its strategic decisions but also on how these decisions align with ethical principles.
Ethical strategies are those that:
 1. Do not cross moral boundaries (actions that should not be done).

2. Meet the company’s ethical duties to all stakeholders, including customers,

employees, and society.

Leaders with strong ethical convictions proactively avoid questionable business

opportunities and ensure that their strategic actions reflect high ethical standards.
Ethical behavior can strengthen the company’s reputation and support sustainable
growth.

4. Good Strategy + Good Execution = Good Management:

A company's performance largely depends on two things: the quality of its strategy and
how well that strategy is executed. Good management involves developing an e>ective
strategy and ensuring that it is properly implemented. For instance, managers must
ensure that every part of the company is aligned with the strategy and that teams execute
the plan e>iciently.
In simpler terms, if a company has a good plan and executes it well, it will perform better.
Poor execution, even with a good plan, can lead to failure. Thus, a strong combination of
both leads to strong management.

5. Five-Phase Strategy Making and Execution Process:

The strategy-making and execution process can be broken down into five phase:
1. Developing a Strategic Vision: The company’s vision provides a long-term
direction, outlining where the company aims to go. For example: Apple's vision is
“to make the best products on earth, and to leave the world better than we found
it.”
2. Setting Objectives: Specific, measurable targets (financial and strategic) are
established to guide the company’s e>orts. For example: McDonald’s Financial
and Strategic Objectives Place more emphasis on delivering an exceptional
customer experience
3. Crafting a Strategy: Management develops an action plan to achieve the
objectives. For example: Starbucks Used a value-based strategy to regain
customer loyalty
4. Executing the Strategy: The plan is put into action, requiring coordination of
resources, people, and processes.
5. Monitoring and Adjusting: Performance is monitored, and the strategy is adjusted
as necessary based on changes in the environment or results achieved.
Example: Vision Slogan “Nike”
“To bring innovation and inspiration to every athlete in the world.

“Caterpillar”
Be the global leader in customer value.
6. Vision and Mission:
The vision of a company is a statement that describes its long-term goals and where it
wants to be in the future. It is focused on the future and acts as a guiding star for decision-
making. A vision is supposed to inspire and motivate the organization. For example, a
technology company might have a vision of becoming the most innovative tech firm
globally.
The mission is more about the present; it defines the company’s purpose, what it
currently does, and why it exists. It focuses on the business's core activities and values.
The mission answers questions like, "Who are we?" and "What do we do?”.

7. Balanced Score card:

The balanced scorecard is a performance measurement tool that looks at a company’s
progress from multiple perspectives, not just financial results. It includes:

1. Financial Performance: Measures like profitability and revenue growth.

2. Customer Satisfaction: Tracking customer experiences and perceptions.
3. Internal Processes: Evaluating how e>iciently internal processes contribute to the
overall strategy.
4. Learning and Growth: Assessing the company’s ability to innovate and improve
over time.
The balanced scorecard helps management track performance comprehensively and
ensures the company focuses on long-term success as well as short-term financial
results.

8. Macro and Micro Environment:

The macro environment consists of external factors that can a>ect all companies, such
as the economy, political conditions, technological changes, and social trends. These
factors influence the broader business environment and are usually outside the control
of individual companies. For example, a recession or new environmental regulations can
impact how companies operate.

The micro environment includes more immediate factors that directly a>ect a company,
like its customers, suppliers, competitors, and distributors. These are industry-specific
and impact how a company delivers its products or services.

9. Rivalry:
Rivalry refers to the competitive struggle between companies in the same industry. The
intensity of rivalry is shaped by factors like the number of competitors, market growth,
and product di>erentiation. Intense rivalry can lead to price wars, increased innovation,
or marketing e>orts to attract customers. Companies in highly competitive industries
must constantly improve their o>erings to stay ahead.
Rivalry is often most intense in industries where companies o>er similar products,
leading to competition based on price, quality, and features.

1. Competitors are active in making fresh moves to improve market standing and
business performance
 2. Slow market growth
3. Number of rivals increases and rivals are of equal size and competitive capability
4. Buyer costs to switch brands are low
5. Industry conditions tempt rivals to use price cuts or other competitive weapons to
boost volume
6. A successful strategic move carries a big payo>
7. Diversity of rivals increases in terms of visions, objectives, strategies, resources,
and countries of origin
8. Outsiders acquire weak firms in the industry and use their resources to transform
new firms into major market contenders

10. Competitor Analysis:

Competitor analysis involves identifying and evaluating the strategies, strengths, and
weaknesses of key competitors. This helps a company understand where it stands
relative to competitors and identify opportunities to gain a competitive advantage. By
Analyzing competitors, a company can anticipate their moves, identify market trends,
and refine its own strategy to di>erentiate its products or services.
Competitor analysis typically includes studying competitors’ market share, product
o>erings, pricing strategies, and marketing tactics.
These explanations provide a detailed breakdown of the concepts related to strategy,
execution, and the business environment.

Examples: Sugar vs. Artificial sweeteners

Eyeglasses and contact lens vs. laser surgery

Newspapers vs. TV vs. Internet